Kuala lumpur: The government’s move to raise the e-invoice exemption threshold from RM500,000 to RM1 million starting next year is expected to encourage entrepreneurs to become more competitive in advancing their businesses.

According to BERNAMA News Agency, Malaysia Micro Enterprises Academy (AUM) chief executive officer Abd Azharee Abdul Wahid stated that the move opens up space for entrepreneurs to focus on developing their businesses, products, and services. He emphasized that entrepreneurs can also improve in areas such as marketing, expanding their networks, and exploring opportunities at the local and international levels.

“It’s like giving us room to breathe because in this challenging economic situation, we have the opportunity to restructure our strategies, especially in 2026,” he said. Abd Azharee noted the importance of this change, referencing the need for small and micro-entrepreneurs to recover from the challenges of COVID-19. He expressed that next year should be a pivotal year for entrepreneurs to bounce back, with the government’s decision serving as a catalyst for renewed enthusiasm and competitiveness.

Abd Azharee further highlighted the significance of enhancing financial management within the business operations. “We are often told that no matter how well a business is run in terms of product or service development, what is more important is the behind-the-scenes aspect,” he added. He pointed out that good financial management is crucial for systematic business management, particularly in digital form.

Recently, Prime Minister Datuk Seri Anwar Ibrahim announced that the government is raising the e-invoice exemption threshold to RM1 million starting next year. This decision aims to reduce the burden on small and medium-sized enterprises (SMEs) after the government heard complaints from small traders about the cost of implementing the system.